Essential Riders for Modern Hospitalization Treatment

The pandemic led to significant modifications in health insurance plans to meet modern medical requirements and remain relevant in the evolving emergency landscape. While COVID-19 medical coverage was included in comprehensive healthcare plans, it did not offer a complete solution to the COVID-19 crisis.

Traditionally, insurance companies did not cover non-payable items. During the pandemic, non-consumable items like nitrile gloves, single-use coveralls, transparent goggles, N-95 masks, shoe covers, and face shields became instrumental for safety. These items often accounted for up to 25% of patients' medical bills, yet no insurance plans compensated for them.

List of Health Riders

Consequently, leading health insurance companies like Max Bupa Health Insurance and Care Health Insurance introduced riders to cover non-payable items. Customers can opt for these riders by paying a nominal extra premium. These riders also offer additional benefits to help customers mitigate the financial impact of medical emergencies.

Max Bupa Health Insurance named its rider 'Safeguard,' while Care Health Insurance's rider is known as 'Care Shield.' These riders are available with both individual and family floater health plans, allowing customers to enhance coverage for themselves and their families.

Benefits of Health Riders

These riders offer three key benefits to customers. The primary benefit is coverage for non-payable items like PPE kits, masks, covers, and shields, up to the sum insured. This rider provides crucial financial support for non-consumable items, which are essential for treating COVID-19 and other diseases.

The second advantage is a No Claim Bonus (NCB) shield or booster benefit. This is similar to the No Claim Bonus that policyholders receive in a claim-free year. Recognizing the widespread impact of COVID-19, insurers now offer benefits that prevent claims from affecting the No Claim Bonus. Max Bupa Health Insurance's Safeguard rider includes a 'Booster Benefit Safeguard,' ensuring no impact on your Booster benefit if claims in a policy year are up to ₹50,000. Similarly, Care Health Insurance, under its Care Shield, offers a 'No Claim Bonus Shield.' If the total payable claim amount in a policy year is less than 25% of the Sum Insured, the No Claim Bonus (or No Claim Bonus Super, if opted) applicable to the base product will not be reduced. This allows customers to retain their bonus percentage even with minimal claims.

The third benefit protects policyholders from surging medical inflation, offering additional long-term protection. Under Max Bupa's Safeguard rider, the 'Sum Insured Safeguard' cumulatively increases the base sum insured each policy year based on the inflation rate. The inflation rate is computed as the average Consumer Price Index (CPI) for the entire calendar year, as published by the Central Statistical Organization (CSO). There is no maximum limit on the increase in Sum Insured under this optional cover. Similarly, Care Health's Care Shield offers an 'Inflation Shield,' allowing the base policy Sum Insured to increase cumulatively at each renewal based on the previous year's inflation rate.

While these offerings significantly help customers, they also enable insurance companies to remain relevant and penetrate the market more effectively with advanced solutions.